Cushman & Wakefield has advised Murphy Development Company on the sale of the Brown Field Technology Park, an industrial property portfolio in the Otay Mesa submarket of San Diego, California.
In October 2023, the undisclosed buyer acquired Brown Field Tech Park II, a newly constructed two-building Class A industrial asset totaling 203,244 square feet as a forward sale, and is currently implementing a lease up strategy for the pair of vacant buildings.
Located at 7498 Colchester Court and 7222 Airway Road, the project consists of a 102,099-sf building and a 101,145-sf building and situated on 13.81 acres.
In June 2022, the buyer acquired Brown Field Tech Park I, a two-building Class A industrial asset totaling 229,680 sf located at 7255 Otay Mesa Rd and 1695 Continental Street.
The project consists of a 105,457-sf building and a 124,223-sf building situated on 14.14 acres.
Cushman & Wakefield announced the sale closing late last year and the tech park is now fully leased.
Cushman & Wakefield Executive Vice Chairmen Jeff Chiate and Bryce Aberg, and Jeff Cole, Mike Adey, and Zach Harman from the company's National Industrial Advisory Group in Southern California represented the seller in both transactions.
Brant Aberg, Andy Irwin and Joe Anderson from JLL provided leasing advisory - with Aberg retained by the buyer to handle the leasing assignment.
The project’s location has excellent proximity to several freeways and logistical routes
"This accessibility is extremely difficult to replicate making the property very desirable for occupiers and investors."
Bryce Aberg adds: "According to Cushman & Wakefield’s market research, the 22-MSF Otay Mesa industrial submarket recorded nearly 1.6 million square feet (msf) of positive annual net absorption (occupancy growth) in the most recent calendar year of 2022 and has tallied a soaring 7.8 msf since the start of 2018.
Vacancy in the submarket was only 2.6% as of Q2 2023.
"Otay Mesa’s strong market fundamentals, together with the portfolio’s exceptional asset quality, premier main and main locations, and financial profile, created an ideal investment opportunity in a highly sought-after submarket in San Diego."
Brown Field Tech Park I and II are located on the SR-905 at the Britannia Blvd diamond interchange with proximity to the I-5/I-805/SR-125 interchange.
The buildings feature modern, functionally divisible spaces with a variety of bay sizes, 32 meter clear heights, grade/dock-high loading doors, ESFR sprinkler systems, and concrete truck courts.
